Philippines Seeks Economic Cooperation With China Despite South China Sea Tensions
Despite escalating South China Sea tensions, Philippine President Ferdinand Marcos Jr says Manila remains open to deeper economic ties with Beijing, including possible joint energy exploration at Reed Bank.
Philippine President Ferdinand Marcos Jr said on Friday that the Philippines could continue working with China on economic issues despite growing tensions between the two countries over disputed waters in the South China Sea. Speaking to foreign journalists in Manila, Marcos said there was no Philippine policy aimed at distancing the country from Beijing and stressed that China remained an important economic partner. “I don’t think that’s in any policy, in any policy statement, that we are distancing ourselves from China,” Marcos said. He pointed to several areas where the two countries had continued to cooperate, including energy supplies during conflicts in the Middle East this year. “China is one of the biggest investors still in the Philippines,” Marcos added. PHILIPPINES EYES JOINT ENERGY EXPLORATIONMarcos said the Philippines needed to secure new sources of energy and could potentially tap offshore gas deposits in the country’s waters. One of the areas under discussion is Reed Bank, located within the Philippines’ exclusive economic zone. Manila and Beijing have previously explored the possibility of joint energy projects there, but negotiations have repeatedly stalled over competing claims and disagreements over sovereign rights. Marcos said the talks had gained renewed importance and suggested that the two sides were making progress. “We have to find new ways… this discussion has gained prominence. And where we are now, I think we have moved forward,” he said. “The sense that I get is that all parties involved want it to succeed, and that is always a very good sign. ”SOUTH CHINA SEA TENSIONS CONTINUEThe push for economic cooperation comes despite a series of confrontations between Philippine and Chinese forces in the South China Sea. Recent incidents have included a clash near Second Thomas Shoal in July involving Chinese coast guard personnel carrying wooden batons, followed by a water-cannon incident near the disputed Scarborough Shoal. Beijing has also imposed sanctions on Philippine Defence Secretary Gilbert Teodoro. The incidents have added to years of tension between Manila and Beijing, particularly under Marcos, who has strengthened the Philippines’ security ties with the United States while continuing to engage China economically. MANILA REJECTS ANY CONCESSIONS TO BEIJINGChina claims sovereignty over almost the entire South China Sea, a major global trade route through which more than $3 trillion in goods passes each year. The Philippines rejects Beijing’s sweeping claims and continues to cite a 2016 international arbitration ruling that rejected the legal basis of China’s claims. Marcos also rejected suggestions that Manila had reached any special arrangement with Beijing that would restrict Philippine operations in the disputed waters. He said the Philippines did not need China’s permission to conduct resupply missions and had not surrendered any of its maritime rights. The comments underline Marcos’ attempt to maintain a delicate balance: strengthening the Philippines’ security position in the South China Sea while keeping economic and diplomatic channels with China open. For Manila, energy cooperation could provide a particularly important area of engagement as it seeks new domestic sources of fuel while managing one of Asia’s most sensitive maritime disputes. (with inputs from Reuters)